We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Analog Devices (ADI) Dips More Than Broader Markets: What You Should Know
Read MoreHide Full Article
Analog Devices (ADI - Free Report) closed at $174.78 in the latest trading session, marking a -0.42% move from the prior day. This change lagged the S&P 500's 0.3% loss on the day. At the same time, the Dow lost 0.25%, and the tech-heavy Nasdaq gained 0.2%.
Heading into today, shares of the semiconductor maker had lost 2.94% over the past month, lagging the Computer and Technology sector's gain of 0.63% and the S&P 500's gain of 3.11% in that time.
Analog Devices will be looking to display strength as it nears its next earnings release. On that day, Analog Devices is projected to report earnings of $1.78 per share, which would represent year-over-year growth of 23.61%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.61 billion, up 67.24% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.54 per share and revenue of $10.68 billion. These totals would mark changes of +16.72% and +45.95%, respectively, from last year.
Any recent changes to analyst estimates for Analog Devices should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Analog Devices is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Analog Devices is currently trading at a Forward P/E ratio of 23.28. This valuation marks a discount compared to its industry's average Forward P/E of 26.57.
Meanwhile, ADI's PEG ratio is currently 1.9. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ADI's industry had an average PEG ratio of 1.66 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 27, putting it in the top 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Analog Devices (ADI) Dips More Than Broader Markets: What You Should Know
Analog Devices (ADI - Free Report) closed at $174.78 in the latest trading session, marking a -0.42% move from the prior day. This change lagged the S&P 500's 0.3% loss on the day. At the same time, the Dow lost 0.25%, and the tech-heavy Nasdaq gained 0.2%.
Heading into today, shares of the semiconductor maker had lost 2.94% over the past month, lagging the Computer and Technology sector's gain of 0.63% and the S&P 500's gain of 3.11% in that time.
Analog Devices will be looking to display strength as it nears its next earnings release. On that day, Analog Devices is projected to report earnings of $1.78 per share, which would represent year-over-year growth of 23.61%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.61 billion, up 67.24% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.54 per share and revenue of $10.68 billion. These totals would mark changes of +16.72% and +45.95%, respectively, from last year.
Any recent changes to analyst estimates for Analog Devices should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Analog Devices is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Analog Devices is currently trading at a Forward P/E ratio of 23.28. This valuation marks a discount compared to its industry's average Forward P/E of 26.57.
Meanwhile, ADI's PEG ratio is currently 1.9. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ADI's industry had an average PEG ratio of 1.66 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 27, putting it in the top 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.